Question # 1

Saving means

Choose an answer

Part of income for investment

Income for boarding

Non consumption of income in the current period

None of the above

Which of the following is a component of M1.

Choose an answer

Saving deposit

Credit card

Checkable deposit

Gold

The impact and incidence of sales tax is

Choose an answer

On the consumer

On the seller

On the producer

None of these

If saving rate is 12.0% , ICOR value is 3% and population Rate is 2.0% then the Growth Rate would be.

Choose an answer

2.0%

3.65

4.0%

6.0%

The nation, that, following currency depreciation, the balance of trade falls for a while before increasing is called a ________ effect.

Choose an answer

Relative price

Elasticity

J- Curve

Pass through

A stable equilibrium requires that the marginal propensity to consume is.

Choose an answer

Less than zero

Zero

One

None of these

Which of the following products will have an elastic demand.

Choose an answer

Flour

Cloth

Honda city

None of these

A market is in equilibrium when

Choose an answer

Ac = P

MC = MR

AC =AR

TC =TR

If a small country imposes a tariff on an imported good its terms of trade will

Choose an answer

Improve

Worsen

Not change

any of the above

If the autarky price of S were lower in country A than in country B, then if trade were allowed.

Choose an answer

A would likely exports s to B

A would likely import s from B

Neither country would want to trade

None of the above

The overall Budget Deficit is financed from

Choose an answer

External borrowing

Non bank borrowing domestically

Bank borrowing plus the above two at a and b

None of the above

International trade is based on the idea that.

Choose an answer

Exports should exceed imports

Imports a should exceed exports

Resources are more mobile internationally than are goods

Resources are less mobile internationally than are goods.

The relation ship between the exchange rate and the prices of tradable goods is known as the.

Choose an answer

Purchasing power parity theory

Asset markets theory

Monetary theory

Balance of payments theory

The earliest statement of the principle of comparative advantage is associated with.

Choose an answer

Adam Smith

David Ricardo

Eli Heckshcer

Berti Ohlin

If the coefficient of income elasticity is negative.

Choose an answer

Inferior good

Normal good

Luxury good

All of these

International trade forces domestic firms to become more competitive in terms of.

Choose an answer

The introduction of new products

Product design and quantity

Product price

All of the above

If there is a price celling, there will be.

Choose an answer

Shortages

surpluses

Equilibrium

None of these

A tariff can________ raise a country's welfare.

Choose an answer

Sometimes

Never

Always

None of these

Suppose that the supply curve of lin is highly inelastic if the demand curve of lin decreases and increases cyclically along the supply curve of lin then in this market the size of the quantity fluctuations will be _____ the size of the price fluctuations.

Choose an answer

Relatively greater than

Relatively less than

the same as

Any of the above

Similar to import tariffs, import quotas tend to result in.

Choose an answer

Higher prices and reduced imports

Increasesed government revenue

Increased consumer surplus

Decrease producer surplus

According to the cost based definition of dumping dumping occurs when a firm sets a product abroad at a price that is less than

Choose an answer

Average total cost

Average variable cost

Average foxed cost

Marginal cost

More Classes

Other Links

PPSC Economics Chapter 10 Most Frequently Asked Economics MCQS MCQs With Answers

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer